New round of layoffs underscores urgency of action on PTC
With Congress back in Washington, D.C., this week for a short session, the urgency of action on an extension of the federal wind energy Production Tax Credit (PTC) was underscored by a new round of layoff announcements from wind companies.
Katana Summit, a wind turbine tower manufacturer that employs 214 in Columbus, Neb., and 79 in Ephrata, Wash., said it will close both plants if it cannot find a buyer for its operations, according to North American Wind Power. A spokesperson for the company told the publication it has no orders for 2013 due to current uncertainty in the industry about a PTC extension: “”I hope we can find a buyer to keep these plants operating, but unless government policy for renewable energy becomes more stable, I’m afraid we’ll see more closures and job losses in the industry into 2013.”
The three members of the South Dakota Congressional delegation–Sens. John Thune (R) and Tim Johnson (D) and Rep. Kristi Noem (R)–all issued statements of regret concerning the announcement and expressed their support for the PTC.
America’s economy is still sluggish–sluggish enough that the Federal Reserve Board today announced another round of bond purchases, this time aimed at mortgage-backed securities, to try to get it moving again. But the unfortunate fact is that until Congress acts to extend the PTC and provide some stability to the wind industry’s financial environment, the industry is going to continue shedding jobs, week after week.
